Why, What, and How To Communicate With Your Investors

While I wrote a lot about FINDING investors for (primarily) apartment building deals, I’ve not really discussed how to interact with your investors AFTER closing. It’s critically important that you communicate with your investors, for at least three reasons:

Common courtesy: it’s polite to keep in touch with people who funded your dream.

To avoid surprises: investors don’t like surprises. They also don’t like silence. If the emails and phone calls stop, it’s a giant red flag. It usually means something is wrong and the investor about to lose their money. Don’t make this mistake.

So that you know what is going on: having investors to “report to” forces you to pay attention to the investment. While this may create additional work for you, it’s not a bad thing. Having to track key metrics and put out reports means that you know what’s going on – a very good thing.

In this article I talk about WHAT to communicate to your investors and how frequently.